Giordano has achieved its high levels of success because it has been able to adapt to market conditions and changing consumer attitudes, this in turn allowed it to identify that repositioning its branding was a better way to exploit the market. Without this action Giordano would not have experienced such great success.
Out of necessity Giordano had to adapt to a changing market. Economies in the Asia-Pacific region have shifted toward higher retail density in an attempt to reduce high transportation costs. This is seen as a move to assure economic efficiency in the region. As a result Giordano faced greater competition in Taiwan and had to create a new strategy to refresh its brand image in the region.
Further, the move to reposition as a value for money retailer better suits the market Giordano was operating in. The strengths retailers in the region are those with a "more-for-less" approach to products and services. This formed the foundation for Giordano’s positioning strategy. By moving away from its high-priced wholesaler image, Giordano was better able to compel its consumers.
Similarly, Giordano also had to adapt to the changing consumer attitudes/preferences. Consumers in Giordano’s distribution region were more familiar with value for money businesses. Thus it was an obligation that Giordano reposition or risk alienating its target market.
However, another factor that may contribute to Giordano’s success is that it has a phonetic brand name that is universal throughout the countries it distributes to, eg: "Giordano", "Giordano Concepts", "Giordano Junior" and "Giordano Ladies". It has been suggested that brands that use a phonetic name instead of translating it into the local language have better brand name retention. Furthermore, the physical quality of the product is still the ultimate determinate for consumers, not the brand name itself. Therefore, while Giordano has capitalised on consumer brand name retention through a universal name,...
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